Traders Hold Breath For Powell's Remarks, Bitcoin's Wild Ride Unleashed: What's Driving Markets Thursday?

Author: Shanthi Rexaline | November 09, 2023 02:22pm

The stock markets is in a lackluster session on Thursday, with traders eagerly awaiting more clues on monetary policy from Fed Chair Jerome Powell, who is set to deliver live remarks at 2 p.m. in Washington.

In other Fed commentary, Richmond Fed President Thomas Barkin emphasized the need for an economic slowdown to complete the disinflation process and reach the 2% target.

Bitcoin (CRYPTO: BTC) experienced a rollercoaster ride, surging as much as 6.5% at 10 a.m. only to nearly erase its gains by noon trading in New York.

Jitters returned to the Treasury market, with yields surging significantly on the long end of the curve. The 30-year yield increased by 11 basis points to 4.73%, while the iShares 20+ Year Treasury Bond ETF (NASDAQ:TLT) declined by 1.5%.

The S&P 500 is on a eight-day winning streak, while the Nasdaq 100 has risen in each of the last nine sessions.

Cues From Thursday’s Trading:

The S&P 500 hovered around flat trading, while blue-chip stocks in the Dow Jones were a tad lower.

The tech-heavy Nasdaq 100 inched 0.1% higher, while small caps fell 0.2%

US Index Performance On Wednesday

Index	Performance (+/-)	Value
Nasdaq 100	+0.09%	15,326.45
S&P 500 Index	-0.03%	4,381.49
Dow Industrials	-0.08%	34,088.29
Russell 2000	-0.19%	1,710.93

Thursday’s Trading In Major US Equity ETFs

• The SPDR S&P 500 ETF Trust (NYSE:SPY) was flat at $437.37.
• The SPDR Dow Jones Industrial Average ETF (NYSE:DIA) held steady at $341.12.
• The Invesco QQQ Trust (NASDAQ:QQQ) rose 0.15% to $373, according to Benzinga Pro data.

Looking at S&P 500 sector ETFs:

• The Communication Services Select Sector SPDR Fund (NYSE:XLC) was the outperformer, up 0.7%.
• The Health Care Select Sector SPDR Fund (NYSE:XLV) was the laggard, down 1.5%.

Upcoming Economic Data:

The Labor Department reported that weekly jobless claims were 217,000 for the week ending Nov.4, marginally lower than the revised 220,000 of the prior week, and broadly in line with the expected 218,000.

The Treasury will auction 30-year bonds at 1 p.m. ET.

Fed Chair Powell will participate in a panel discussion at the IMF at 2 p.m. ET.

See also: Best Futures Trading Software

Stocks In Focus:

• Walt Disney Company (NYSE:DIS) rallied over 7% as investors reacted positively to its fourth-quarter earnings report and the management commentary on the call.
• Among the other stocks moving on earnings news are Affirm Holdings, Inc. (NASDAQ:AFRM) (up over 17%), HubSpot, Inc. (NYSE:HUBS) (down over 4%), AMC Entertainment Holdings, Inc. (NYSE:AMC) (down about 11%), Luminar Technologies, Inc. (NASDAQ:LAZR) (down about 14%), Viasat, Inc. (NASDAQ:VSAT) (up over 9%), MGM Resorts International (NYSE:MGM) (flat), Virgin Galactic Holdings, Inc. (NYSE:SPCE) (up over 24%), AstraZeneca plc (NASDAQ:AZN) (up over 1%) and Becton, Dickinson and Company (NYSE:BDX) (down 8%),
• Companies reporting after the close include Alarm.com Holdings, Inc. (NASDAQ:ALRM), Blink Charging Co. (NASDAQ:BLNK), DoubleVerify Holdings, Inc. (NYSE:DV), Hologic, Inc. (NASDAQ:HOLX), Illumina, Inc. (NASDAQ:ILMN), Lions Gate Entertainment Corp. (NYSE:LGF) (NYSE:LGF), Navitas Semiconductor Corporation (NASDAQ:NVTS), News Corporation (NASDAQ:NWSA), Unity Software Inc. (NYSE:U), SoundHound AI, Inc. (NASDAQ:SOUN), Plug Power, Inc. (NASDAQ:PLUG) and Wynn Resorts, Limited (NASDAQ:WYNN).

Commodities, Bonds, Other Global Equity Markets:

Crude oil rose 0.6%, with a barrel of WTI-grade crude trading at $76. The United States Oil Fund ETF (NYSE:USO) was 0.7% higher to $70.66.  

Treasury yields were slightly higher, with the 10-year yield up by 8 basis points to 4.57%. The US Treasury Note ETF (NYSE:UTEN) was 0.6% lower.

The dollar held steady, with the U.S. dollar index, which is tracked by the Invesco DB USD Index Bullish Fund ETF (NYSE:UUP) flat. The EUR/USD pair, which is tracked by the Invesco CurrecyShares Euro Currency Trust (NYSE:FXE), was unchanged at 1.07.

European equity indices had a positive session. The SPDR DJ Euro STOXX 50 ETF  (NYSE:FEZ) rose 1%. 

Gold rallied 0.6% to $1,961/oz, while silver rose 1.3% to $22.82. Bitcoin (CRYPTO: BTC) was 2.2% higher to $36,441.

Staff writer Piero Cingari updated this report midday Thursday. 

Read Next: US Economy Primed For 2024 Rebound: Goldman Sachs Envisions S&P 500, Bond Surge As Inflation Pressure Eases

Photo via Shutterstock.

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